Avis publishes best third quarter, Stock Peaks – Rental Operations
Avis Budget Group Inc. reported revenue of $ 3 billion for the third quarter of 2021, the company announced on November 1. This total almost doubled from the previous year affected by the Covid and was also 9% higher in the third quarter of 2019. increased revenue per day and rental days as demand continued from the second trimester.
For the quarter, Avis recorded $ 674 in net income and over $ 1 billion in adjusted EBITDA, its best Adjusted EBITDA in company history.
Usage for the quarter was 71.6% and showed sequential quarterly improvement, Avis reported.
Internationally adjusted EBITDA was $ 128 million for the quarter, due to the start of a recovery in prices and volumes in markets that have lagged behind the US recovery.
“Our third quarter results demonstrate our team’s continued focus on cost discipline and operational execution capability,” said Joe Ferraro, CEO of Avis Budget Group. “We are seeing the benefits of the initiatives we launched early in the pandemic and are looking to build on this positive momentum as the travel environment continues to normalize.”
Meanwhile, Avis Budget Group shares are in tears. Before the earnings report, the stock had climbed more than 110% since July. The stock reached record territory late in the morning on November 2, up nearly 1,000% from its low in January of this year.
The unprecedented jump is due in part to Ferraro’s comments on an analyst’s call on Tuesday, in which he said the company would be “much more active in electrical scenarios.”